Indian IT staffing market to reach 10k crore in next 5 years

Indian IT staffing market to reach 10k crore in next 5 years

VADODARA: Indian IT staffing market will reach to Rs 10,000 crore in next five years. Mehul Shah, managing director of US-based IT solutions and services provider - Collabera Inc. said this here on Wednesday.

Current headcount estimates of the IT industry which includes IT-enabled services (ITES) suggest that the total employee base of the industry is about 2.5 million professionals. With a staffing density of one per cent as per industry estimates the total temporary strength is around 25,000 employees.

"The size of IT staffing in India is estimated to be worth Rs 1200 crore which is still a far cry from the estimated US IT staffing market worth US $ 22 billion. Presently, temporary staff is hardly one or 1.5 percent of the total labour force of any company's strength in India. But it will grow up by around 40 percent every year," said Shah, who is also a board member in the Indian Staffing Federation (ISF) - the apex body representing the industry.

Shah said that the temporary staffing is becoming the "in-thing" in IT companies. "Temporary workers account for ten to fifteen percent of the actual employee base of leadingIT companies today against two to five per cent a few years ago. This share is expected to go up to 20 to 25 per cent in the coming quarters," he said, adding that the demand for temporary staffing by tech providers would go up by 40 to 45 per cent in the next couple of years.